Freehold Royalties (Freehold Royalties) ROCE % : 17.26% (As of Dec. 2023)

View and export this data going back to 1996. Start your Free Trial

What is Freehold Royalties ROCE %?

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. Freehold Royalties's annualized ROCE % for the quarter that ended in Dec. 2023 was 17.26%.

Freehold Royalties ROCE % Historical Data

The historical data trend for Freehold Royalties's ROCE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Freehold Royalties ROCE % Chart

Freehold Royalties Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

ROCE %

Get a 7-Day Free Trial

1.51

-1.76

10.83

24.17

16.33

Freehold Royalties Quarterly Data
	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
ROCE %	Get a 7-Day Free Trial															18.69	14.77	12.56	20.21	17.26

Freehold Royalties ROCE % Calculation

Freehold Royalties's annualized ROCE % for the fiscal year that ended in Dec. 2023 is calculated as:

ROCE %	=	EBIT	/	( (Capital Employed	+	Capital Employed)	/ count )
		(A: Dec. 2023 )		(A: Dec. 2022 )		(A: Dec. 2023 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(A: Dec. 2023 )		(A: Dec. 2022 )		(A: Dec. 2023 )
	=	136.193	/	( ( (892.163 - 37.856)	+	(833.649 - 19.45) )	/ 2 )
	=	136.193	/	( (854.307	+	814.199)	/ 2 )
	=	136.193	/	834.253
	=	16.33 %

Freehold Royalties's ROCE % of for the quarter that ended in Dec. 2023 is calculated as:

ROCE %	=	EBIT ⁽¹⁾	/	( (Capital Employed	+	Capital Employed)	/ count )
		(Q: Dec. 2023 )		(Q: Sep. 2023 )		(Q: Dec. 2023 )
	=	EBIT	/	( ( (Total Assets - Total Current Liabilities)	+	(Total Assets - Total Current Liabilities) )	/ count )
		(Q: Dec. 2023 )		(Q: Sep. 2023 )		(Q: Dec. 2023 )
	=	141.676	/	( ( (845.863 - 17.944)	+	(833.649 - 19.45) )	/ 2 )
	=	141.676	/	( ( 827.919	+	814.199 )	/ 2 )
	=	141.676	/	821.059
	=	17.26 %

(1) Note: The EBIT data used here is four times the quarterly (Dec. 2023) EBIT data.

Freehold Royalties (OTCPK:FRHLF) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

Freehold Royalties ROCE % Related Terms

Thank you for viewing the detailed overview of Freehold Royalties's ROCE % provided by GuruFocus.com. Please click on the following links to see related term pages.

Freehold Royalties (Freehold Royalties) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Energy » Oil & Gas » Freehold Royalties Ltd (OTCPK:FRHLF) » Definitions » ROCE %

Comparable Companies

Traded in Other Exchanges

1FH:Germany FRU:Canada

Address

517 - 10 Avenue SW, Suite 1000, Calgary, AB, CAN, T2R 0A8

Website

https://www.freeholdroyalties.com

Freehold Royalties Ltd is in acquiring and managing Oil and Gas royalties. It operates in two segments: Canada, which includes exploration and evaluation assets and the petroleum and natural gas interests in Western Canada; and the United States, which includes petroleum and natural gas interests held in the Permian (Midland and Delaware), Eagle Ford, Haynesville and Bakken basins primarily located in the states of Texas, Louisiana, and North Dakota. The majority of its revenue is generated from Canada Segment.